Complete List of Fannie Mae and Freddie Mac Preferred Stock

What is Fannie Mae?

It is the Federal National Mortgage Association (FNMA). FNMA was created in 1938. The purpose of Federal National Mortgage Association is to make it possible for more Americans to buy homes. Fannie Mae guarantees or insures mortgage lenders on loans to middle and lower income borrowers. Fannie became a GSE in 1968.

In 2008 Fannie Mae went into conservatorship along with Freddie Mac. There are investors who believe in a better than zero chance that these GSEs will be required to honor their contracts on these preferred shares. The shares currently trade at a fraction of their liquidation value. If honored the preferred shares will sky rocket in value.

What is Freddie Mac?

It is the Federal Home Loan Mortgage Corporation. FHLMC was created as a GSE in 1970. The purpose of the Federal Home Loan Mortgage Corporation is to buy mortgages from banks and create mortgage backed securities out of them. By buying the mortgages from the banks they free up the banks capital to encourage more lending.

What is the deal with their preferred stock?

In 2008 Fannie Mae went into conservatorship along with Freddie Mac. There are investors who believe in a better than zero chance that these GSEs will be required to honor their contracts on these preferred shares. The shares currently trade at a fraction of their liquidation value. If honored the preferred shares will sky rocket in value.

Fannie Mae Preferred Stock Data

Value Ashram has collected this table of Fannie Mae (FNMA) preferred stock shares that still trade. You can view and sort by ticker, coupon, description and CUSIP. The shares that are missing coupons are floating rate. We will be adding the floating rate soon for these shares. We will also be adding the prospectus downloads soon.

Warning!

These securities are very risky. There is a high chance that holders of these securities will get nothing and lose their investment. Please do your own research. This is NOT an recommendation to buy or sell securities.

These shares trade OTC (over the counter) and liquidity is often very low. If you are trying to buy these shares you should use limit orders.

Use this table as a starting point for your Fannie Mae preferred share research. Photo by William Iven on Unsplash